Zaha is being linked with a lucrative move to St James' Park following the proposed £300million Saudi takeover.
But Peter Ramage, who came through the ranks with Newcastle and later played for Palace, believes Zaha would be better off joining a top club rather than moving to the Magpies in a money-motivated transfer.
“It will be bittersweet. I think Wilf is now at a moment in his career where if he has aspirations to get to that next level in his career, with all due respect to Palace, he is going to leave," Peter Ramage said, speaking on the Back Of The Nest podcast.
“Newcastle wouldn't be a good move for him in that respect and it would obviously be more the financial aspect rather than anything else if he was to come to Newcastle, and we are just talking hypothetically here.
“For me, for Wilf if he wants to break into the top four and Palace have got the ability to do it, but it would be a lot harder for them than those top clubs like Chelsea, Manchester United, Manchester City."
He added: “I have even seen him linked with the top clubs in Europe and he is coming up to 28 now, and the longer he waits, the less of an opportunity he will get."